Alabama HB115 replaces existing rural physician income tax credit with new five-year credit

Alabama HB115 repeals the existing rural physician income tax credit, effective December 31, 2026, and introduces a new five-year credit for rural physicians starting January 1, 2027. The new credit allows eligible physicians to claim $10,000 per tax year for up to four years. The Alabama Statewide Area Health Education Center Program Office will certify physician eligibility, and the Department of Revenue will administer the credit. The bill also mandates annual reports and evaluations to measure the program's impact on rural physician recruitment and retention.

Alabama HB115 replaces existing rural physician income tax credit with new five-year credit

Alabama HB115 repeals the existing rural physician income tax credit, effective December 31, 2026, and introduces a new five-year credit for rural physicians starting January 1, 2027. The new credit allows eligible physicians to claim $10,000 per tax year for up to four years. The Alabama Statewide Area Health Education Center Program Office will certify physician eligibility, and the Department of Revenue will administer the credit. The bill also mandates annual reports and evaluations to measure the program's impact on rural physician recruitment and retention.